The Cabinet Office, the Treasury and the Office of the Third Sector jointly published the guidance, which states third sector organisations must be given three-year funding in all but exceptional cases.

All government departments will be expected to follow the guidance and report their progress back to third sector minister Phil Hope.

Hope said: "We are determined to make three-year funding the norm, not the exception, for the third sector and the guidance will help departments across government make our commitment a reality."

The guidance is the first in a series of step to make three-year funding the norm for charities to help them become more sustainable and reduce the time they spend on fundraising.

However the guidance will not apply where short-term funding is more appropriate, for example for pilot projects or a specific event.

http://www.cabinetoffice.gov.uk/third_sector